It is customary for the Chinese to give out 'ang pow' (red packets) to children as a form of blessing during the Chinese New Year festivals.

Likewise, the Malaccan government who adopted the concept, handed out a total of RM45,000 to seven of its MCA assemblypersons recently. An opposition assemblyperson, who ended up empty-handed, is seeing red.

This 'festive allowance' was also distributed to Muslim assemblypersons during Hari Raya and Hindu assemblypersons during Deepavali, to allow them to hold 'open house' events and provide donations to the needy.

Asked about this, Malacca state executive councillor Seah Kwi Tong (left) told malaysiakini that the practice is a norm but he has no idea when it started.

According to Seah, each assemblyperson was given RM5,000 and an additional RM5,000 if the assemblyperson is in the state exco. Two of the seven assemblypersons are executive councillors.

The Ayer Keroh assemblyperson said that he was unaware of how much Chief Minister Mohd Ali Mohd Rustam would receive, adding that it should not be less than that of a council member.

DAP Bandar Hilir assemblyperson Goh Leong San (right), however, claimed that Mohd Ali has been drawing about RM20,000 as 'festive allowance' for the past few years, as revealed previously in the Malacca state assembly.

Malacca has 13 BN assemblypersons, 13 BN state executive councillors, one chief minister and two opposition assemblypersons (both from DAP). Should Goh's allegations prove true, it translates into about RM215,000 being forked out annually by the state government for such allowances.

Allowances not accounted?

Goh, a three-term assemblyperson, added that the allowance was banked into the assemblypersons' accounts last year, giving them full control of how the money was to be spent.

This, claimed Goh, is irresponsible as the public should be allowed to fully scrutinise how their elected representatives spend taxpayers' money.

Goh who is also a member of the state Public Accounts Committee said that the allowance was not recorded in the 2004 Auditor-General's report for Malacca, to which he pointed out to Auditor-General Dr Hadenan Abdul Jalil yesterday in Putrajaya.

"Obviously, he did not have a proper explanation. He just said that the expenditure recorded was not in detail," said Goh when contacted.

"The taxpayers' money should not be spent to encourage the culture of eat, drink and be merry. It should be used for the benefit of the people," he said, hitting out at the practice of 'festive allowance'.

"Most people don't know that 'open houses' are held using the tax payers' money. The BN reps indirectly gain support through such events," he added.

Malacca govt in debt

However, Seah denied Goh's allegations of abuse of the allowances.

"It is a common practice for the assemblypesrons to hold 'open houses' and give 'ang pow' or daily necessities to senior citizens and charitable organisations during festive seasons. I believe that their expenditure is much higher than what they receive," he said.

"They (the opposition) have raised the issue in the state legislative assembly many times and we (state government) have answered their questions," he added while dismissing Goh's claims that the state government's practice was unhealthy.

According to Auditor-General's Report 2004 released last October, Malacca state government is heavily in debt.

The state's short term debt had grown 200 percent from RM86.65 million in 2003 to RM257.53 million in 2004 but the value of its total properties had dropped from RM249.11 million in 2003 to RM221.77 million in 2004, which is lower than its debt.

The report shows that Malacca state government borrowed a loan of RM769.38 million from the federal government in 2004, RM86.58 million more than the previous year.

The 2004 loan had yet to be settled and interest amounting to RM43.95 million had been owed since 1996.